End of period commentary from Setra for Q3 2024
The wood industry company Setra reports an operating result of -50 (8) million SEK for the third quarter of 2024. Net sales amounted to 1,278 (1,207) million SEK.
During the third quarter, increased raw material costs, despite higher sales prices, contributed to a deterioration in Setra’s results compared to the same period last year. Additionally, both production and delivery levels have been significantly lower due to ongoing investments.
“The challenging situation for the sawmill and wood mechanical industry continues, characterized by rising raw material prices while the weak construction market does not allow for increasing sales prices at the same pace. In addition to an increased focus on costs and efficiency, we are also reviewing the capacity at some of the company’s facilities,” says Marcus Westdahl, Setra’s CEO.
Investment activities have progressed according to plan during the quarter with the commissioning of the new small log line in Skinnskatteberg, construction of a new saw line in Malå, and completion of a new boiler plant at the sawmill in Färila. In Långshyttan, the pellet factory is now fully installed and the takeover of operations will begin in Q4. Cash flow from operating activities for the third quarter amounted to -50 (217) million SEK.
| Key figures* | Jul-Sep (3 months) | Jan-Sep (9 months) | ||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||
| Net sales, MSEK | 1 278 | 1 207 | 3 806 | 3 989 | ||||||||
| Operating profit/loss, MSEK | -50 | 8 | -114 | -46 | ||||||||
| Profit/loss after tax, MSEK | -48 | 4 | -114 | -37 | ||||||||
| Operating margin, % | -3,8 | 0,7 | -3 | -1,2 | ||||||||
| Return on operating capital, %, RTM | -12 | -5 | ||||||||||
| Cash flow from operating activities, MSEK | -50 | 217 | -348 | 210 | ||||||||
* Setra does not publish a complete quarterly report.
For further information, please contact:
Marcus Westdahl, Group CEO, phone +46 8 705 03 75, mobile +46 73 098 14 00
Johanna Lindén, CFO, phone +46 8 705 03 03, mobile +46 70 614 73 59
At Setra, we believe in “Grönsamhet”. When a business is profitable for everyone, we call it Grönsamhet – Green profit. Setra is one of Sweden’s largest wood industry companies. We process raw material from responsibly managed forests into climate-friendly products such as glulam, planed products, components, CLT and sawn wood products. We also sell bioproducts such as bark, chips and sawdust to customers in the paper and pulp industry, and for energy production. Our customers are located all over the world. Find out more at setragroup.com